Gwangju Buk-gu Offers Up to 2 Million KRW Property Tax Reduction for Good Landlords

[Asia Economy Honam Reporting Headquarters Reporter Kim Yukbong] Buk-gu, Gwangju Metropolitan City (District Mayor Moon In) is providing tax support for ‘Good Landlords’ to help local small business owners struggling due to COVID-19.

According to Buk-gu on the 19th, the ‘Property Tax Reduction Agreement for COVID-19 Damage Support’ was approved at the 269th Buk-gu Council extraordinary meeting held on the 14th.

Accordingly, property tax reductions will be implemented again this year for good landlords who lowered rent, following last year.

This property tax reduction aims to support building owners (landlords) who voluntarily reduced rent to ease the burden on small business owners (tenants). Last year, 171 cases received property tax reduction benefits totaling about 20 million KRW.

This year, support will be expanded to promote the spread of the Good Rent Movement and strengthen efforts to overcome the economic crisis.

The reduction targets landlords who reduced rent for more than three months or whose rent reduction rate is 10% or more.

Even if the rent reduction period is less than three months, if the average rent reduction rate converted to three months is 10% or more, it qualifies for the reduction.

Landlords can receive a 75% reduction on property tax for buildings, up to a maximum of 2 million KRW.

Applications for property tax reduction can be submitted to the Taxation Division 1 of Buk-gu Office with supporting documents such as a copy of the lease contract, rent reduction agreement, tax invoice, and a small business owner confirmation from the tenant.

Businesses classified as high-end entertainment venues such as gambling halls and nightclubs, as well as lease contracts between spouses and direct lineal relatives, are excluded from the reduction.

Mayor Moon In of Buk-gu said, “We express our gratitude to landlords who participated in rent reduction despite difficult circumstances,” and added, “We hope many landlords actively participate in the Good Rent Movement so that a culture of coexistence between small business owners and landlords can be established.”